Summary
The applicant, a 46-year-old controller, faced security clearance denial under Guideline E (Personal Conduct) and Guideline F (Financial Considerations) due to failure to disclose significant financial and personal issues on her security clearance application. The judge found insufficient evidence of progress in resolving delinquent debts and noted deliberate omissions of relevant facts, including a prior termination and an arrest.
Under Guideline E (Personal Conduct) and Guideline F (Financial Considerations), the Statement of Reasons alleged the following: deliberately failed to list that [she] had been fired from [her] position with the bank in August 2010 for violating a bank policy (2.a). deliberately failed to list that [she] had been arrested for Operating While Intoxicated in December 2005 (2.b). deliberately failed to list that she had two judgments entered against her within the last seven years (2.c). deliberately failed to list that she had bills or debts turned over to a collection agency (2.d). is a judgment for $2,955 (Applicant admitted the debt and said the balance is $1,536.) (1.a). are 10 delinquent medical debts for $1,736, $1,576, $1,085, $691, $239, $212, $54, $40, $40, and $13 (Applicant admitted the first seven medical debts; however, she did not describe any plan to resolve the debts.) (1.f). Applicant’s unsecured and nonpriority debts were discharged in February 2005 under Chapter 7 of the Bankruptcy Code (1.r).
The judge denied the clearance. The government raised disqualifying conditions AG ¶ 19(a), AG ¶ 19(b), AG ¶ 19(c), AG ¶ 16(a). The decision turned on the following: Applicant failed to demonstrate sufficient progress in resolving delinquent debts; Deliberate omissions of financial and personal conduct information on the security clearance application were acknowledged by the applicant; Lack of corroborating evidence to support claims of debt resolution contributed to the denial.
Why the Applicant Was Denied
- Applicant failed to demonstrate sufficient progress in resolving delinquent debts.
- Deliberate omissions of financial and personal conduct information on the security clearance application were acknowledged by the applicant.
- Lack of corroborating evidence to support claims of debt resolution contributed to the denial.
Conditions Referenced
- AG ¶ 19(a)raisedInability to Satisfy Debts
- AG ¶ 19(b)raisedUnwillingness to Satisfy Debts Regardless of the Ability to Do So
- AG ¶ 19(c)raisedA History of Not Meeting Financial Obligations
- AG ¶ 16(a)raisedDeliberate Omission, Concealment, or Falsification of Relevant Facts
Key Rule Quoted
“Eligibility for a security clearance is predicated upon the applicant meeting the criteria contained in the adjudicative guidelines.”
Procedural Posture
- SOR issuedMar 24, 2016
- Answer filedApr 13, 2016Applicant waived her right to a hearing.
- Hearing held—No hearing was held.
- Decision dateOct 12, 2017
Cite For
- Failure to Disclose Significant Financial Issues Under Guideline E
- Deliberate Omissions of Relevant Facts Impacting Security Clearance Eligibility
- Insufficient Evidence of Debt Resolution Under Guideline F